📊 ATXG Key Takeaways
Investment Thesis
ATXG exhibits severe operational distress with negative operating and net margins, coupled with a 18.9% revenue decline and deteriorating profitability (-63.8% YoY net income collapse). Despite maintaining a strong balance sheet with low leverage, the company is burning cash operationally (-$1.1M) with no visible path to profitability, indicating fundamental business model failure in the mailing services sector.
ATXG Strengths
- Strong balance sheet with minimal debt (0.05x debt-to-equity) and $21.6M stockholders equity providing financial flexibility
- Excellent liquidity position with 21.67x current ratio offering short-term solvency buffer
- Positive gross profit of $710.5K demonstrates some revenue-generating capability at unit level
ATXG Risks
- Critical negative operating margin (-33.3%) and net margin (-178.9%) indicating operational losses exceed gross profit by wide margin
- Severe revenue contraction of 18.9% YoY combined with 63.8% net income decline signals deteriorating market demand and competitive position
- Persistent negative cash flow (-$1.1M operating, -$1.2M free cash flow) with only $238.5K cash reserves unsustainable without equity dilution or asset sales
- Negative interest coverage (-1.4x) unable to service debt from operations despite low absolute debt levels
- Zero insider buying activity despite crisis-level metrics suggests management confidence is absent
Key Metrics to Watch
- Revenue stabilization and year-over-year growth trajectory
- Path to operating profitability and operating margin recovery
- Operating cash flow sustainability and cash burn rate relative to remaining liquidity
ATXG Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 21.67x current ratio provides a solid financial cushion.
ATXG Profitability Ratios
ATXG vs Default Sector
How ADDENTAX GROUP CORP. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
ATXG Balance Sheet & Liquidity
ATXG 5-Year Financial Trend
5-Year Trend Summary: ADDENTAX GROUP CORP.'s revenue has declined by 79% over the 5-year period, indicating business contraction. The most recent EPS of $-0.71 indicates the company is currently unprofitable.
ATXG Growth Metrics (YoY)
ATXG Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $864.9K | -$1.1M | N/A |
| Q2 2026 | $820.7K | -$102.8K | N/A |
| Q1 2026 | $851.0K | -$392.4K | $-0.06 |
| Q3 2025 | $1.1M | -$1.1M | $-0.19 |
| Q2 2025 | $1.3M | -$721.5K | $-0.13 |
| Q1 2025 | $851.0K | -$1.2M | $-0.25 |
| Q3 2024 | $1.5M | -$82.2K | $0.00 |
| Q2 2024 | $1.3M | $83.2K | $0.00 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ATXG Capital Allocation
ATXG SEC Filings
Access official SEC EDGAR filings for ADDENTAX GROUP CORP. (CIK: 0001650101)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ATXG
What is the AI rating for ATXG?
ADDENTAX GROUP CORP. (ATXG) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are ATXG's key strengths?
Strong balance sheet with minimal debt (0.05x debt-to-equity) and $21.6M stockholders equity providing financial flexibility. Excellent liquidity position with 21.67x current ratio offering short-term solvency buffer.
What are the risks of investing in ATXG?
Critical negative operating margin (-33.3%) and net margin (-178.9%) indicating operational losses exceed gross profit by wide margin. Severe revenue contraction of 18.9% YoY combined with 63.8% net income decline signals deteriorating market demand and competitive position.
What is ATXG's revenue and growth?
ADDENTAX GROUP CORP. reported revenue of $2.6M.
Does ATXG pay dividends?
ADDENTAX GROUP CORP. does not currently pay dividends.
Where can I find ATXG SEC filings?
Official SEC filings for ADDENTAX GROUP CORP. (CIK: 0001650101) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ATXG's EPS?
ADDENTAX GROUP CORP. has a diluted EPS of $-0.06.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.